HOUSE BILL 50

M3 (PREFILED) By: Delegates Norman, Vitale, Aumann, Bates, Elliott, George, Glass, Kipke, Krebs, McComas, McConkey, Ready, Serafini, Jacobs, Afzali, W. Miller, McDermott, Dwyer, McMillan, Stifler, Stocksdale, Arentz, Boteler, Hough, ODonnell, Fisher, Schulz, Hogan, Szeliga, Beitzel, Eckardt, Cluster, HaddawayRiccio, Impallaria, McDonough, Smigiel, Parrott, and Otto Requested: July 8, 2013 Introduced and read first time: January 8, 2014 Assigned to: Environmental Matters A BILL ENTITLED 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 AN ACT concerning Stormwater Management Watershed Protection and Restoration Program Repeal FOR the purpose of repealing the requirement that on or before a certain date a county or municipality subject to a certain municipal stormwater permit adopt and implement laws or ordinances to establish a watershed protection and restoration program; repealing the exemption of a county or municipality from certain requirements if the county or municipality has enacted and implemented a certain system of charges in a certain manner on or before a certain date; repealing the requirement that a county or municipality maintain or administer a local watershed protection and restoration fund in accordance with certain provisions of law; repealing the requirement that a county or municipality establish and annually collect a stormwater remediation fee in accordance with certain provisions of law; repealing the requirement that a county or municipality establish certain policies and procedures to reduce a certain stormwater remediation fee to account for certain measures; repealing certain provisions of law relating to the prohibition against the assessment of a stormwater remediation fee on a property by both a county and a municipality; repealing the requirement that a county or municipality determine the method, frequency, and enforcement of the collection of the stormwater remediation fee; repealing the requirement that certain money be deposited in a local watershed protection and restoration fund; repealing certain provisions of law relating to the uses of money in a local watershed protection and restoration fund; repealing the requirement that a county or municipality make publicly available a certain report beginning on a certain date; repealing the
EXPLANATION: CAPITALS INDICATE MATTER ADDED TO EXISTING LAW.
[Brackets] indicate matter deleted from existing law.

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requirement that a county or municipality establish a certain hardship exemption program; repealing the authorization of the Department of the Environment to adopt certain regulations; altering the definition of a certain term; repealing the definition of a certain term; and generally relating to stormwater management in the State. BY repealing and reenacting, with amendments, Article Environment Section 4201.1 Annotated Code of Maryland (2013 Replacement Volume) BY repealing Article Environment Section 4202.1 Annotated Code of Maryland (2013 Replacement Volume) Preamble WHEREAS, The State has required 10 affected counties to impose a taxing regime, commonly referred to as the rain tax, with the amounts to be determined in the sole discretion of each county; and WHEREAS, Under the State mandate, the affected counties have taken disparate approaches to implementing the requirements, imposing a variety of rates and categorizing properties differently; and WHEREAS, Under other provisions of law, each affected county is authorized to impose alternatives to the taxing regime mandated by the State to provide financial assistance for the implementation of local stormwater management plans; now, therefore, SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, That the Laws of Maryland read as follows: Article Environment 4201.1. (a) In this subtitle the following words have the meanings indicated.

(b) Environmental site design means using smallscale stormwater management practices, nonstructural techniques, and better site planning to mimic natural hydrologic runoff characteristics and minimize the impact of land development on water resources.

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(c)

Environmental site design includes:

(1) Optimizing conservation of natural features, such as drainage patterns, soils, and vegetation; Minimizing use of impervious surfaces, SUCH AS PAVED SURFACES, CONCRETE CHANNELS, ROOFS, AND PIPES; (2) (3) Slowing down runoff to maintain discharge timing and to increase infiltration and evapotranspiration; and (4) Using other nonstructural practices or innovative stormwater management technologies approved by the Department. (1) Impervious surface means a surface that does not allow stormwater to infiltrate into the ground. (2) pavement.] Impervious surface includes rooftops, driveways, sidewalks, or

[(d)

[4202.1.
(a) (1) Except as provided in paragraph (2) of this subsection, this section applies to a county or municipality that is subject to a national pollutant discharge elimination system Phase I municipal separate storm sewer system permit. (2) This section does not apply to a county or municipality that, on or before July 1, 2012, has enacted and implemented a system of charges under 4 204 of this subtitle for the purpose of funding a watershed protection and restoration program, or similar program, in a manner consistent with the requirements of this section. (b) On or before July 1, 2013, a county or municipality shall adopt and implement local laws or ordinances necessary to establish a watershed protection and restoration program. (c) A watershed protection and restoration program established under this section shall include: (1) (2) A stormwater remediation fee; and A local watershed protection and restoration fund.

(d) (1) A county or municipality shall maintain or administer a local watershed protection and restoration fund in accordance with this section.

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(2) The purpose of a local watershed protection and restoration fund is to provide financial assistance for the implementation of local stormwater management plans through stormwater management practices and stream and wetland restoration activities. (e) (1) Except as provided in paragraph (2) of this subsection and subsection (f) of this section, a county or municipality shall establish and annually collect a stormwater remediation fee from owners of property located within the county or municipality in accordance with this section. (2) Property owned by the State, a unit of State government, a county, a municipality, or a regularly organized volunteer fire department that is used for public purposes may not be charged a stormwater remediation fee under this section. (3) (i) A county or municipality shall set a stormwater remediation fee for property in an amount that is based on the share of stormwater management services related to the property and provided by the county or municipality. (ii) A county or municipality may set a stormwater remediation fee under this paragraph based on: 1. A flat rate;

2. An amount that is graduated, based on the amount of impervious surface on each property; or 3. or municipality. (4) A stormwater remediation fee established under this section is separate from any charges that a county or municipality establishes related to stormwater management for new developments under 4204 of this subtitle, including fees for permitting, review of stormwater management plans, inspections, or monitoring. (f) (1) A county or municipality shall establish policies and procedures, approved by the Department, to reduce any portion of a stormwater remediation fee established under subsection (e) of this section to account for onsite and offsite systems, facilities, services, or activities that reduce the quantity or improve the quality of stormwater discharged from the property. (2) The policies and procedures established municipality under paragraph (1) of this subsection shall include: by a county or Another method of calculation selected by the county

(i) Guidelines for determining which onsite systems, facilities, services, or activities may be the basis for a fee reduction, including guidelines:

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1. Relating stormwater best management practices;

to

properties

with

existing

advanced

2. Relating to agricultural activities or facilities that are otherwise exempted from stormwater management requirements by the county or municipality; and 3. That account for the costs of, and the level of treatment provided by, stormwater management facilities that are funded and maintained by a property owner; (ii) and (iii) Procedures for monitoring and verifying the effectiveness of the onsite systems, facilities, services, or activities in reducing the quantity or improving the quality of stormwater discharged from the property. (3) For the purpose of monitoring and verifying the effectiveness of onsite systems, facilities, services, or activities under paragraph (2)(iii) of this subsection, a county or municipality may: (i) Conduct onsite inspections; The method for calculating the amount of a fee reduction;

(ii) Authorize a third party, certified by the Department, to conduct onsite inspections on behalf of the county or municipality; or (iii) Require a property owner to hire a third party, certified by the Department, to conduct an onsite inspection and provide to the county or municipality the results of the inspection and any other information required by the county or municipality. (g) (1) A property may not be assessed a stormwater remediation fee by both a county and a municipality. (2) (i) Before a county may impose a stormwater remediation fee on a property located within a municipality, the county shall: 1. Notify the municipality of the countys intent to impose a stormwater remediation fee on property located within the municipality; and 2. Provide the municipality reasonable time to pass an ordinance authorizing the imposition of a municipal stormwater remediation fee instead of a county stormwater remediation fee. (ii) If a county currently imposes a stormwater remediation fee on property located within a municipality and the municipality decides to implement

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its own stormwater remediation fee under this section or 4204 of this subtitle, the municipality shall: 1. Notify the county of the municipalitys intent to impose its own stormwater remediation fee; and 2. Provide the county reasonable time to discontinue the collection of the county stormwater remediation fee within the municipality before the municipalitys stormwater remediation fee becomes effective. (3) A county or municipality shall establish a procedure for a property owner to appeal a stormwater remediation fee imposed under this section. (h) (1) A county or municipality shall determine the method, frequency, and enforcement of the collection of the stormwater remediation fee. (2) A county or municipality shall deposit the stormwater remediation fees it collects into its local watershed protection and restoration fund. (3) restoration fund: There shall be deposited in a local watershed protection and (i) Funds received from the stormwater remediation fee;

(ii) Interest or other income earned on the investment of money in the local watershed protection and restoration fund; and (iii) Any additional money made available from any sources for the purposes for which the local watershed protection and restoration fund has been established. (4) Subject to paragraph (5) of this subsection, a county or municipality shall use the money in its local watershed protection and restoration fund for the following purposes only: (i) Capital improvements including stream and wetland restoration projects; (ii) systems and facilities; for stormwater management,

Operation and maintenance of stormwater management

(iii) Public education and outreach relating to stormwater management or stream and wetland restoration; (iv) Stormwater management planning, including: 1. Mapping and assessment of impervious surfaces; and

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2. Monitoring, inspection, and enforcement activities to carry out the purposes of the watershed protection and restoration fund; (v) To the extent that fees imposed under 4204 of this subtitle are deposited into the local watershed protection and restoration fund, review of stormwater management plans and permit applications for new development; (vi) Grants to nonprofit organizations for up to 100% of a projects costs for watershed restoration and rehabilitation projects relating to: 1. management practices; 2. Stream and wetland restoration; and Planning, design, and construction of stormwater

3. Public education and outreach related to stormwater management or stream and wetland restoration; and (vii) Reasonable costs watershed protection and restoration fund. necessary to administer the local

(5) A county or municipality may use its local watershed protection and restoration fund as an environmental fund, and may deposit to and expend from the fund additional money made available from other sources and dedicated to environmental uses, provided that the funds received from the stormwater remediation fee are expended only for the purposes authorized under paragraph (4) of this subsection. (6) The funds disbursed under this subsection are intended to be in addition to any existing State or local expenditures for stormwater management. (7) Money in a local watershed protection and restoration fund may not revert or be transferred to the general fund of any county or municipality. (i) Beginning July 1, 2014, and every 2 years thereafter, a county or municipality shall make publicly available a report on: (1) The number of properties subject to a stormwater remediation fee;

(2) The amount of money deposited into the watershed protection and restoration fund over the previous 2 fiscal years; and (3) The percentage of funds in the local watershed protection and restoration fund spent on each of the purposes provided in subsection (h)(4) of this section.

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(j) (1) A county or municipality shall establish a program to exempt from the requirements of this section a property able to demonstrate substantial financial hardship as a result of the stormwater remediation fee. (2) A county or municipality may establish a separate hardship exemption program or include a hardship exemption as part of a system of offsets established under subsection (f)(1) of this section. (k) section.] The Department may adopt regulations to implement and enforce this

SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect July 1, 2014.